PSEi continues to climb, adds 31 points

PSEi continues to climb, adds 31 points

THE MAIN index gained 31 points yesterday, adding to the slim gain notched on Wednesday, as investors continued to snag bargains.
The Philippine Stock Exchange index (PSEi) climbed by 0.74% to close at 4,234.96, while the all-share index added 0.79% or 24.25 points to 3,089.80.

“A sudden surge in PSE share price set the general tone for yesterday’s trading, giving investors some buying confidence in the face of another flat movement in the Dow overnight,” said Justino B. Calaycay, Jr., analyst at Accord Capital Equities Corp., in a market note.

“It was a decent follow-up to Wednesday’s tepid four-point rise, keeping the index above the crucial support range,” he added.

PSE, Inc. shares surged by 32.91% or P130 to P525 after the list of candidates for the May 14 board election was released and a 100% stock dividend was announced.

Maria Arlysa E. Narciso, analyst at AB Capital Securities, Inc., in a separate market report pointed out, “increasing interest in a few stocks led the index to advance.”

Wall Street did not provide much boost to yesterday’s trading with the closely watched Dow Jones industrial average rising by just 0.06% or 7.41 points to 12,270.99. The broader Standard & Poor’s 500 index barely gained by 0.02% or 0.25 point to 1,314.41.

At home, foreigners resumed buying, posting a net buying of P12.76 million, reversing their net selling position last Wednesday.

Turnover thinned with 1.1 billion shares worth P4.13 billion changing hands, from 10.4 billion shares worth P4.29 billion on Wednesday.

Advancers outpaced decliners, 79 to 61, while 38 stocks did not change.

All subindices were in the green, led by property companies that jumped by 1.31% or 21.03 points to close at 1,629.73.

Mining and oil gained 1.28% or 187.61 points to 14,831.14, while holding firms added 1.06% or 37.50 points to 3,564.45.

Financial companies closed 0.8% or 7.45 points higher at 943.78, while industrial firms gained 0.52% or 38.32 points to 7,342.59.

The service sector inched up by 0.22% or 3.31 points to 1,517.52.

Most active shares were in the green, led by second most-traded Lopez Holdings Corp. that rallied by 5.19% or 28 centavos to P5.67.

Fourth most-traded International Container Terminal Services, Inc.

surged by 3.02% or P1.45 to P49.50.

Alliance Global Group, Inc. of property tycoon Andrew L. Tan jumped by 2.72% or 30 centavos to P11.34.

However, top-traded and index heavyweight Philippine Long Distance Telephone Co. shed 0.43% or P10 to P2,340.

Third most-traded Aboitiz Power Corp. dropped 0.16% or five centavos to P32, while Consunji-led Semirara Mining Corp. lost 1.28% or P2.80 to P215.20.

Ayala Corp., which is partnering with property arm Ayala Land, Inc. for ventures in toll roads and railways, was unchanged at P392 yesterday.

For today, trading might be thin as investors look for liquidity ahead of the shortened trading week next week.

“Trades may be tempered but nonetheless buoyed up by selective bargain hunting in preparation for a shortened trading week next week,” Mr. Calaycay said.

“All liquidity requirements for the Lenten holidays will have to be executed by Friday, at the latest,” he added, pegging the support and resistance at 4,170 and 4,250 to 4,270, respectively.

For Ms. Narciso: “Earnings are in the eyes of investors. Although they won’t be due soon, they will drive their appetite in the coming weeks. -- N. J. C. Morales Read More ...

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